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Lean Accounting Power Audio Inc. manufactures audio speakers. Each speaker requires $104 per unit of direct materials. The speaker manufacturing assembly cell includes the following

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Lean Accounting Power Audio Inc. manufactures audio speakers. Each speaker requires $104 per unit of direct materials. The speaker manufacturing assembly cell includes the following estimated costs for the period: Snosker aceomhlu inall actimated costs: The operating plan cails for 150 operating hours for the period. Each speaker requires 15 minutes of cell process time. The unit selling price for each 5peaker is 5281 . During the period, the following transactions occulred: 1. Purchased materiaks to produce 725 speaker units. 2. Applied conversion costs to production of 690 speaker unith. 3. Completed and transferred 660 speaker units to finished goods. 4. Sold 630 speaker units. There were no inventories at the beginning of the period. a. Joumalize the summary transactions (1)-(4) for the period. Round the per unit cost to the nearest cent and use in subsequent computations. If an amount box does not require an entry, leave it blank: There were no inventories at the beginning of the period. a. Joumalize the summary transactions (1)-(4) for the period. Round the per unit cost to the nearest cent and use in subsequent computations. If an amount box does not require an entry, leave it blank. a. In lean manufacturing, there are fewer transactions to record, thus simplifyind the accounting system. Some accounts are combined. For example, all in-process work is combined with raw materials to formia new account, Raw and In Process (RIp) Inventory and direct labor is also combined with other costs to form a new account titied Conversion Costs. Indirect labor is directly assigned to product ceils; thus, less factory ovethead is allocated to products. The cell conversion rate is eimilar to a predetermained factory overhead rate, except that it indudes all conversion costs in the numerator. b. Determine the ending balance of raw and in process inventory and finished goods inventory, Paw and In Pracess Inventory, ending balance 9 Finished Goods inventory, ending balance 1 b. Set up a-T-account for Raw and in Process Inventory and Finished Goods Inventory and post your entries trom Rea. (a) to obtain the balances. Hesouse I Efeck Mr myote Fertinily corroct

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